Role of Finance Ministry In India

The Finance Ministry working

The situation is having adverse effects on not only the human beings but also on the economy and various other sectors. The Finance Ministry is playing a vital role in maintaining the funds for the country.

The Ministry of Finance, functioning as the Indian Treasury Department, is an important ministry within the Government of India dealing with India's economy. It concerns taxes, financial regulation, financial institutions, capital markets, central and state finances and the Union budget in particular.

The Finance Ministry is the Indian Revenue Service, Indian Economic Service, Indian Cost Accounts Service and Indian Civil Accounts Service top governing body. R. K. Shanmukham Chetty had been India's first independent finance minister. On 26 November 1947 he presented independent India's first budget

The Finance Ministry in India is taking regular measures in order to find a way for all the states to have sufficient funds in order to help them.

According to the recent news, the Finance Ministry has released Rs 6,195.08 crore to help the 14 states which is being treated as the second monthly equated installment of the Post Devolution Revenue Deficit Grant. To help them financially, the fund was released under the Disaster Management Relief Program and revenue shortfall grant.

The Finance Ministry has given a statement that, "This funds would provide them additional resources during the Corona crisis". The grant was recommended by the 15th Finance Commission, while the first installment was released on March 14 to the states by the Center.

The Finance Ministry has released Rs 1,276 crore advance payments to Kerala on May 11, followed by Rs 952 crore to Himachal Pradesh and Rs 638 crore to Punjab. 

The Finance Ministry has also released Rs 631 crore to Assam, Rs 491 crore to Andhra Pradesh, Rs 423 crore to Uttarakhand, and Rs 417 crore to West Bengal.

For all states, the remaining Rs 11,092 crore was an advance payment of the Center's share of the first installment of the State Disaster Risk Management Fund (SDRMF) to create quarantine facilities and arrange other facilities to track coronavirus spread.

This grant offered by the Finance Ministry would help state governments take preventive and mitigating steps to control Covid-19, including setting up quarantine facilities, gathering and screening samples and building additional laboratories for research.

In addition to the purchase of thermal scanners, ventilators, air purifiers and consumables for government hospitals, cash-strapped states can also use the funds to cover consumables costs and the acquisition of personal protective equipment (PPE) for health care, municipal, police and fire authorities.

There are various other ministries which are working together in order to fight against this pandemic situation and revive the country’s resources to make sure that the people may have access to required resources and all together can work to make the situations better for the country.

The Finance Ministry has five departments under it which work for different fields. The Finance Ministry working is important for the country to have proper utilisation of its resources and maintain the economic stability.